The number of formally registered workers and companies in Argentina has suffered a marked setback since the start of President Javier Milei’s government, a new report shows.
According to a study from the CEPA (Centro de Economía Política Argentina) think tank, a total of 280,984 formal jobs have been lost over the period, with 20,134 firms shutting their doors over the same period.
The CEPA report, based on the government data tracked by Superintendencia de Riesgos del Trabajo work inspectors, concludes that the fall in registered employment was 2.85 percent in the first 22 months of the Milei administration – equivalent to 419 less workers a day.
In parallel, the number of employers with registered staff decreased from 512,357 to 492,223 over the period – a contraction of 3.9 percent.
The transport and storage sector was hit hardest with the loss of 4,851 employers, followed by retail trade, real estate, professional services and the manufacturing industry.
Regarding employment, the greatest job losses were seen in public administration, defence and social security with 88,342 less workers, followed by construction with a fall of 77,383, the manufacturing industry with 59,127 fewer employees and transport and storage, which lost 53,642.
Construction was the most affected sector in percentage terms with a fall of 16.2 percent in registered employment.
The CEPA report notes that 99.6 percent of employers closing down are from firms with fewer than 500 workers. Nevertheless, the greatest job destruction has occurred in major firms – 69.4 percent of the jobs lost corresponded to companies with more than 500 employees.
CEPA concluded that the data evidenced a marked retreat in formal employment and a significant contraction of the business fabric with a differential impact according to sector and company size in the first months of the current administration.
– TIMES/NA
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